Brunswick County charter schools under investigation

Published: Thursday, January 9, 2014 at 3:35 p.m.

Last Modified: Thursday, January 9, 2014 at 3:35 p.m.

Two local charter schools operated by The Roger Bacon Academy are being investigated by the U.S. Department of Education, according to an October letter from the department.

Facts

SOUTH BRUNSWICK CHARTER SCHOOL

The Roger Bacon Academy's newest charter school, approved by the state Board of Education on Thursday, will likely open in August with kindergarten through second-grade students, eventually expanding to fifth grade. Roger Bacon Academy founder Baker Mitchell said he planned to open the school between Southport and Shallotte on N.C. 211.

News of the investigation emerged as Brunswick County Schools Superintendent Edward Pruden tried to derail the education management group's application for a third charter school.

But the state Board of Education on Thursday approved the application to open a new charter school in southeast Brunswick County later this year.

Pruden had requested information from the U.S. Department of Education. In an October response, the Department of Education's Office of Inspector General confirmed the investigation into Charter Day School and Columbus Charter School, both operated by The Roger Bacon Academy, but would not release any details.

Roger Bacon Academy founder Baker Mitchell said he hasn't been contacted about any investigation, saying that his focus was on educating students. But Pruden said he felt that a group under investigation should not be allowed to open another school and taxpayer money used for charter schools with questionable practices should go instead to public school students.

The Roger Bacon Academy submitted an application in March 2013 to open South Brunswick Charter School in August 2014.

Pruden began raising concerns about the charter school and The Roger Bacon Academy soon after, sending letters to the state Board of Education in August, September, November and January. Along with his November letter, he included a letter from the federal Department of Education about an ongoing investigation into two of The Roger Bacon Academy's charter schools.

The federal agency's letter denies a request for information from Brunswick County Schools "related to an investigation conducted by the Office of the Inspector General related to Charter Day School and/or Columbus Charter School," saying that information can't be released while the investigation is underway.

Calls to the U.S. Department of Education were not immediately returned.

Stacey Gahagan, an attorney with Schwartz and Shaw, a Raleigh law firm that works with Brunswick County Schools, said she last heard from the Department of Education in October, when it sent the letter about the investigation.

In one of his letters to the state school board, Pruden wrote that the federal investigation involved increasing enrollment at Charter Day School.

"According to information Brunswick County Schools received, the basis of the alleged investigation was that Charter Day School ... used improper means to encourage homeschooled and private school students to enroll during the first few days of school to increase the average daily membership," Pruden wrote. That enrollment number is used to determine state funding levels.

Pruden asked that the state Board of Education not give final approval to open South Brunswick Charter School. He also asked that the board look into the federal investigation and examine low enrollment numbers at Douglass Academy, a Wilmington charter school opened in 2013 by The Roger Bacon Academy.

Mitchell said Thursday he hadn't been contacted about any kind of investigation into his schools.

"I've had no communication from any group, state, local, federal, the United Nations, or even a local Brunswick County citizen," he said.

Mitchell said the allegations that the investigation revolved around upping enrollment numbers "made no sense."

"Every year, we have a waiting list that we have to turn down, and we have a lottery," he said. "Some years, we've turned away as many as 250 or 300 people."

Though South Brunswick Charter was approved, Pruden still thinks his correspondence with the state school board had "initiated a conversation."

"We think that the issues one sees with Charter Day School are really issues you can find with many of the charter operations statewide," Pruden said. "We seek legislative reform of charter school governance and transparency in financial operations of charter schools."

Charter schools are granted the right to operate and overseen by the state board of education. They aren't governed by local school districts or local school boards. Instead, they answer to private boards and education management companies, which can be nonprofit or for profit, and they aren't required to disclose detailed financial information.

Charter schools frequently tout their ability to educate students at low costs. They receive some federal funding, and local school districts must also send charter schools a portion of their state and local funds each year. Each charter school receives per-pupil funding – or the average cost of educating each student – for all of its students who would normally attend a local school district.

Though charters mean fewer students the public schools must serve, their growing numbers mean more money flowing out of local school districts' budgets. New Hanover County sent $1.7 million to charter schools this year, up from $1.4 million in 2012-13. Brunswick County sent $1.9 million to charter schools this year, up from $1.76 million in 2012-13.

Brunswick County Schools is locked in a legal battle with Charter Day School, appealing lower court rulings that the district stinted the charter schools on required contributions. New Hanover schools is in a similar situation. The districts may have to hand over hundreds of thousands more dollars; Pender County made a $28,000 settlement in July.

"Those are taxpayer dollars for public education, and the people intend those dollars to pay for schools and teachers, textbooks, computers," Pruden said. "They do not intend to make millionaires."

<p>Two local charter schools operated by The Roger Bacon Academy are being investigated by the U.S. Department of Education, according to an October letter from the department.</p><p>News of the investigation emerged as Brunswick County Schools Superintendent Edward Pruden tried to derail the education management group's application for a third charter school.</p><p>But the state Board of Education on Thursday approved the application to open a new charter school in southeast Brunswick County later this year.</p><p>Pruden had requested information from the U.S. Department of Education. In an October response, the Department of Education's Office of Inspector General confirmed the investigation into Charter Day School and Columbus Charter School, both operated by The Roger Bacon Academy, but would not release any details. </p><p>Roger Bacon Academy founder Baker Mitchell said he hasn't been contacted about any investigation, saying that his focus was on educating students. But Pruden said he felt that a group under investigation should not be allowed to open another school and taxpayer money used for charter schools with questionable practices should go instead to public school students. </p><p>The Roger Bacon Academy submitted an application in March 2013 to open South Brunswick Charter School in August 2014. </p><p>Pruden began raising concerns about the charter school and The Roger Bacon Academy soon after, sending letters to the state Board of Education in August, September, November and January. Along with his November letter, he included a letter from the federal Department of Education about an ongoing investigation into two of The Roger Bacon Academy's charter schools.</p><p>The federal agency's letter denies a request for information from Brunswick County Schools "related to an investigation conducted by the Office of the Inspector General related to Charter Day School and/or Columbus Charter School," saying that information can't be released while the investigation is underway. </p><p>Calls to the U.S. Department of Education were not immediately returned. </p><p>Stacey Gahagan, an attorney with Schwartz and Shaw, a Raleigh law firm that works with Brunswick County Schools, said she last heard from the Department of Education in October, when it sent the letter about the investigation. </p><p>In one of his letters to the state school board, Pruden wrote that the federal investigation involved increasing enrollment at Charter Day School.</p><p>"According to information Brunswick County Schools received, the basis of the alleged investigation was that Charter Day School ... used improper means to encourage homeschooled and private school students to enroll during the first few days of school to increase the average daily membership," Pruden wrote. That enrollment number is used to determine state funding levels.</p><p>Pruden asked that the state Board of Education not give final approval to open South Brunswick Charter School. He also asked that the board look into the federal investigation and examine low enrollment numbers at Douglass Academy, a Wilmington charter school opened in 2013 by The Roger Bacon Academy.</p><p>Mitchell said Thursday he hadn't been contacted about any kind of investigation into his schools.</p><p>"I've had no communication from any group, state, local, federal, the United Nations, or even a local Brunswick County citizen," he said. </p><p>Mitchell said the allegations that the investigation revolved around upping enrollment numbers "made no sense."</p><p>"Every year, we have a waiting list that we have to turn down, and we have a lottery," he said. "Some years, we've turned away as many as 250 or 300 people."</p><p>Though South Brunswick Charter was approved, Pruden still thinks his correspondence with the state school board had "initiated a conversation."</p><p>"We think that the issues one sees with Charter Day School are really issues you can find with many of the charter operations statewide," Pruden said. "We seek legislative reform of charter school governance and transparency in financial operations of charter schools."</p><p>Charter schools are granted the right to operate and overseen by the state board of education. They aren't governed by local school districts or local school boards. Instead, they answer to private boards and education management companies, which can be nonprofit or for profit, and they aren't required to disclose detailed financial information. </p><p>Charter schools frequently tout their ability to educate students at low costs. They receive some federal funding, and local school districts must also send charter schools a portion of their state and local funds each year. Each charter school receives per-pupil funding – or the average cost of educating each student – for all of its students who would normally attend a local school district.</p><p>Though charters mean fewer students the public schools must serve, their growing numbers mean more money flowing out of local school districts' budgets. New Hanover County sent $1.7 million to charter schools this year, up from $1.4 million in 2012-13. Brunswick County sent $1.9 million to charter schools this year, up from $1.76 million in 2012-13.</p><p>Brunswick County Schools is locked in a legal battle with Charter Day School, appealing lower court rulings that the district stinted the charter schools on required contributions. New Hanover schools is in a similar situation. The districts may have to hand over hundreds of thousands more dollars; Pender County made a $28,000 settlement in July.</p><p>"Those are taxpayer dollars for public education, and the people intend those dollars to pay for schools and teachers, textbooks, computers," Pruden said. "They do not intend to make millionaires." </p><p>Pressley Baird: 343-2328</p><p>On <a href="http://www.starnewsonline.com/section/news41"><b>Twitter</b></a>: @PressleyBaird</p>